Telegram has successfully raised $1.7 billion through a convertible bond offering that closed on May 28, 2025. The five-year bonds carry a 9% coupon and include an option for investors to convert their holdings into equity at a 20% discount in the event of a future initial public offering (IPO).
The proceeds from the bond sale will be allocated as follows: approximately $955 million will be used to repay existing debt from a previous bond issue set to mature in 2026, while the remaining $745 million will serve as fresh capital to support growth initiatives and operational expenses.
Telegram co-founder Pavel Durov expressed gratitude for the strong investor response, stating, “The response from investors was phenomenal. We are deeply grateful to the investment funds that have supported us over the years. Due to strong demand, we expanded the offering beyond the initial $1.5 billion — yet demand still far exceeded what we could allocate.
Notable participants in the bond offering include asset manager BlackRock and Abu Dhabi investment firm Mubadala.
WSJ
This fundraising effort follows recent developments for Telegram, including a tentative deal with Elon Musk’s artificial intelligence company, xAI, to integrate its AI model Grok into the Telegram platform. While the partnership has not been formally finalized, the announcement led to a surge in the price of Toncoin (TON), Telegram’s sole digital asset accepted for app services, which increased by over 20% to $3.69 on May 28.
Telegram’s successful bond offering underscores its growing appeal among investors as it continues to expand its global reach and features, particularly within the crypto community.
